India’s refining capacity rose 5.8 per cent last fiscal on Jamnagar and Kochi expansion
India’s refining capacity rose 5.8 percent last financial year to 247.6 Million Tonne Per Annum (MMTPA) mainly on the back of capacity expansion at Jamnagar refinery operated by Reliance Industries (RIL) in Gujarat and Kochi refinery operated by Bharat Petroleum (BPCL). Jamnagar refinery capacity expanded by 8 million tonnes per annum (MTPA) while Kochi’s capacity increased by 3 MTA during the year. The overall 5.8 percent growth in the country’s refining capacity took place due to the growth of 3.5 percent in Public Sector Undertakings or Joint Venture refineries and 10.2 percent in private refineries, the oil ministry said in its latest report. RIL increased Jamnagar (SEZ) refinery’s capacity to 35.2 MTPA in the financial year 2017-2018 from 27 MTPA in the financial year 2016-2017. The company had said in its financial results statement earlier this week its crude throughput in 2017-18 decreased marginally to 69.8 Million Tonne (MT) from 70.1 MT in 2016-2017. “4Q FY18 revenue from the Refining & Marketing segment increased by 29.8% Y-o-Y to Rs 93,519 crore ($ 14.3 billion) led by 24.2 percent YoY higher crude oil prices during the quarter. Segment EBIT declined by 10.9 percent Y-o-Y to Rs 5,607 crore ($ 860 million), largely on account of reduced crude throughput and adverse move in Brent-Dubai differentials,” RIL said. The company added that the strong performance driven by Petrochemicals, Retail, and Digital Service businesses was partially offset by the reduced contribution from refining due to lower crude throughput as well as lower volumes in upstream oil and gas. The oil ministry’s report shows Jamnagar refinery’s capacity utilization dropped to 106.02 percent in 2017-18 as compared to 138.34 percent recorded in the previous fiscal. The company’s overall capacity utilization dropped to 103.33 percent from 116.96 percent in 2016-2017. The Kochi refinery in Kerala operated completed its Rs 16,500 crore Integrated Refinery Expansion Project (IREP) last financial year to become the largest public sector refinery in the country, surpassing the capacity of 15 MTPA Paradip refinery and 15 MTPA Panipat refinery operated by Indian Oil Corporation (IOC). The Kochi refinery increased its installed capacity to 15.5 MTPA in the financial year 2017-2018 from 9.5 MTPA in the year-ago period. Bhatinda refinery, a JV between Hindustan Petroleum and Mittal Energy Investments Pvt Ltd, expanded its capacity to 11.3 MTPA in 2017-18 from 9 MTPA in 2016-17 as part of a $350 million expansion plan. Dorian O’Daniel Jersey
Mitsubishi and IOC sign an agreement over the licensing for manufacturing Acrylic Acid and Acrylic Acid Ester in India
Mitsubishi Chemical Corporation (MCC), headquartered at Chiyoda Ward, Tokyo and Indian Oil Corporation Limited (IOC) have concluded an agreement over the licensing of MCC’s proprietary technology for manufacturing acrylic acid and acrylic acid ester. Indian Oil Corporation Limited, the country’s largest oil and gas company, has been working on a project for producing petrochemicals from propylene in Dumad, India. Indian Oil Company has selected MCC’s technology for the process of manufacturing acrylic acid with an annual capacity of 90,000 tons and butyl acrylate with an annual capacity of 150,000 tons in the project. Beginning in the year 1962, MCC launched the development of a process for producing acrylic acid and acrylic acid ester from propylene and built the first commercial plant based on the process at the Yokkaichi in 1973. The plant is continuing to operate to date. More than ten plants have been using the licensing process in the world. Disposable diapers, coating compositions, and adhesive agents use acrylic acid and acrylic acid ester. Global demand for these acid chemicals is on the rise at an annual rate of more than 5%. MCC will actively promote licensing activity to new projects resulting from the growing global demand for petrochemicals. MCC, founded in 1933, is an international chemical company of repute to produce performance products, industrial materials, and others. During the year 2016, the company had sales revenues of JPY 2,390.9 billion. Indian Oil is India’s flagship Maharana national oil company with business interests straddling the entire hydrocarbon value chain – from refining, pipeline transportation and marketing of petroleum products to Research & Development, Exploration & Production, marketing of natural gas and petrochemicals. Travis Konecny Jersey
India offered a $1.6bn oil discount, if it pays in crypto
Venezuela’s inflation could hit 100,000% by 2019 and they desperately need cash. Is the Petro the last roll of the monetary dice for President Maduro? It’s not difficult to understand why Nicolas Maduro is trying very hard to sell his Petro crypto coin. Launched in late 2017 with the aim of circumventing US trade sanctions while also attempting to ease the pressure on the ever-sliding Bolivar – Venezuela’s inflation rate rose from 4,000% last year to 18,000 % in April and some economists say it could hit 100,000 % by the end of the year – the Petro could be the last roll of the monetary dice for President Maduro. He claims the token, that supposedly is backed by the country’s oil assets, raised $5 billion after it went on public sale in March and, while domestically opposition politicians argue that is illegal and many in the crypto industry have said it is a national-level scam, Maduro seems to be doing all he can to use it to turn some quick profit. According to local news outlet Correo del Orinoco, the Venezuelan president has pushed the country’s financial authorities to register 16 new crypto exchanges and the aim is clear. Make it easier for the country’s citizens to purchase the world’s first state-backed crypto-currency. Maduro also seems to be extending the government’s crypto platform and, via an April 27 announcement, he reportedly told the Venezuelan people they could now invest in the country’s gold, via a Central Bank of Venezuela crypto-based “‘petro oro” initiative. Now news has emerged that Venezuela, the world’s second-largest crude oil producer, has tried to cut a deal with India, according to Quartz, by offering a 30% discount on petroleum sales if, yes you’ve guessed, payments are made using the Petro. Quartz says that India imported something like 8% of its oil needs from Venezuela in 2017, which would have cost $5.5 billion. So a 30% discount? That’s close to $1.6 billion. Temping indeed but … Delhi has just done a lot to try to squash trade in crypto-currencies. Earlier this month the Reserve Bank of India announced new measures banning banks under its control from investing in crypto-currency markets. This came after finance minister Arun Jaitley last year called cryptos “Ponzi schemes which can result in sudden and prolonged crash exposing investors.” In February he added to his criticism by telling Indian lawmakers to “take all measures to eliminate the use of these crypto-assets in financing illegitimate activities or as part of the payment system.” Presumably, that would include purchasing oil worth $5 billion? The Reserve Bank of India might be now studying the feasibility of an Indian state digital currency but it is also far from supportive of the wider international crypto landscape. “Internationally, while the regulatory response to these tokens are not uniform, it is universally felt that they can seriously undermine the anti-money laundering … framework, adversely impact the market integrity and capital control,” said the bank earlier this month. What a dilemma to have. Make a quick $1.6 billion? Or stick to your principles. Can India dare go down Maduro’s crypto rabbit hole? Is this Delhi’s red pill, blue pill moment? So, what would you do? Dominic Moore Womens Jersey
ONGC shortlists Schlumberger, Halliburton, Baker for boosting output at 2 oilfields
Oil and Natural Gas Corp (ONGC) will hire international oil service companies for the first time to raise output from mature oilfields. India’s top oil and gas producer has shortlisted Schlumberger, Halliburton and GE subsidiary Baker Hughes for raising output from Kalol field in Gujarat and Geleki field in Assam, according to tender document floated by the company. Other oilfield service providers meeting pre-qualification criteria can also bid for the job by May 25, it said. The service providers will be paid a fee for raising output beyond an agreed baseline production. “To achieve the objective of production enhancement of oil and gas from mature fields, ONGC invites global oil and gas service providers having firm commitment to invest and processing capabilities to bid,” the document said. “The service provider will be required to invest in capital expenditure and operating expenditure to increase production from the existing ‘baseline’ production.” ONGC is looking to raise domestic output quickly to meet Prime Minister Narendra Modi’s target of cutting import dependence by 10 percent by 2022. India currently imports over 80 percent of its oil needs. Originally, ONGC had on December 7, 2016, signed a Summary of Understanding (SoU) to give Kalol field to Halliburton and Geleki field to Schlumberger for raising production above the current baseline output. Though the contracts were signed in presence of Oil Minister Dharmendra Pradhan, ONGC rescinded them last year on fears of courting controversy for handing fields on nomination basis. Thereafter, the company in June 2017 floated an expression of interest (EoI) from service providers for undertaking production enhancement. “Following are the names of vendors meeting the pre-qualification criteria (of EoI): Schlumberger Asia Services, Halliburton Offshore Services Inc, and Baker Hughes Singapore PTE Ltd,” the firm said in the document seeking final bids by May 25. The 15-year Production Enhancement Contract (PEC) will require the oilfield service producer to commit to investing in capital expenditure and operating expenditure to increase production from the existing ‘baseline’ output. A tariff will be paid in USD per barrel of oil and USD per million British thermal unit for gas for any incremental hydrocarbon produced and saved over the baseline. The baseline shall be prepared by ONGC and vetted and certified by a third party of international repute. All the oil and gas produced will belong to ONGC and the service provider arrangement is being entered into to get the best technology available, sources said. Besides Schlumberger, Halliburton and Baker Hughes, ONGC was also in talks with Weatherford International. Sources said based on the experience of Kalol and Geleki, the PEC model may be extended to other onshore fields. David Bakhtiari Authentic Jersey